Burberry feel impact of Europe terror attacks
Burberry (LON:BRBY) have become the latest company to have sales impacted by terror attacks in Europe, reporting a revenue fall of 1 percent for the second half of the year.
The group cited a drop in tourist spending in Europe and weaker demand in Hong Kong as reasons for the disappointing figures. Chief Executive Officer said that the externam business climate was “challenging”, and confirmed that it may impact profit this year.
Adjusted profit before tax is likely to be broadly in line with analysts’ expectations, which range from 401 million to 443 million pounds, but the full-year forecast may be lowered.
Burberry shares have fallen over 6 percent on the news, currently trading at 1,264 (0811GMT).
Unilever surviving in tougher market
Ango-Dutch consumer goods maker Unilever (LON:ULVR) reported sales growth in line with expectations for the first quarter, despite competing in a tougher market.
Underlying sales increased 4.7 percent, just above the 4.6 percent estimated by analysts, with volume rising by 2.6 percent.
“What we’ve got is a very, very mixed pricing environment around the world, it’s very important to focus in these times on volume and not price,” Chief Financial Officer Graeme Pitkethly told Bloomberg.
However, turnover fell 2 percent to 12.5 billion euros as a result of weak currencies globally.
Shares have fallen 0.77 percent on the news, trading at 3,237 (0817GMT).
Singapore reverts to 2008-style monetary policy
The Singapore dollar has fallen, dragging down other Asian currencies, after the country’s central bank unexpectedly reverted to 2008-style monetary policy in order to prompt growth.
The Monetary Authority of Singapore moved to a neutral policy of zero percent appreciation in the exchange rate, causing the Singapore dollar fell 0.9 percent to 1.3633 per U.S. dollar.
The move comes just days after the IMF warned of a period of prolonged slow growth globally, and after Singapore’s services industry, which makes up about two-thirds of the economy, contracted an annualized 3.8 percent in the first quarter from the previous three months
14/04/2016
